Legislative Updates On DTC Shipping
Below is a look at current activities by state, of note:
ARKANSAS: DTC Shipping Law Now In Effect
As of August 5, the new law allowing DTC shipping, directly to consumers, will be in effect. This is HB 1476, which established a wine direct shipping permit like those in use in other states. Wineries, suppliers, or importers licensed in any state may apply for a direct wine shipping permit from Arkansas’s ABC to ship directly to a consumer’s residence. Note: the recipient must reside in a wet county to receive shipment.
This new law is a great step forward, as it removes the on-site purchase requirement which had previously been in effect. Consumers could only have wine shipped to their residence if they could provide proof that the purchase had occurred on-site at the winery. This was a significant restriction that greatly limited freedom of consumer choice and Free the Grapes! Is thrilled to see this removed.
The other state that still maintains an on-site order requirement is Rhode Island, and we hope this state may re-evaluate its own requirements in the near future. Read more about the background on this at our blog.
DELAWARE: A Disappointing Outcome
For years, we have been encouraging the passage of DTC shipping in Delaware, and have supported a number of promising bills to this effect. At the end of this most recent legislative session, a new bill was introduced - HB 187 (Smith) and, despite the involvement of long-time supporter Rep. Smith, we were dismayed to see that this bill included significant restrictions on winery-to-consumer direct shipping. It creates an unworkable law by prohibiting the shipment of wine from wineries currently represented by DE wholesalers. This includes wineries that are a subsidiary of a larger wine producer or supplier with distribution. Furthermore, the common carriers have also expressed concerns about some of the requirements included in the bill that affect their operations. In spite of this, the bill was passed and is expected to be signed by the Governor on August 15.
Free the Grapes! Has worked to bring awareness to this situation, with a call to action for consumers to write to their legislators, and through press outreach to make the unfavorable restrictions of the bill known and understood. Our thanks to The Delaware News Journal for their coverage of this issue and Free the Grapes’ concerns.
MISSISSIPPI: DTC Shipping Applications Available
Wineries can now submit an application for a direct wine shipper permit to Mississippi. The permit has an annual fee of $100 and allows the holder to ship wine containing more than 6.25% ABV to consumers of legal age. Shipments per winery cannot exceed 12 cases per address per calendar year and are only open to those wines that are not currently distributed through the state’s ABC warehouse, with the exception of those designated as highly allocated. However, orders for these wines may not be filled until the state allocations are completed. For more information on the rules and regulations, permitting process, and a list of which wines are currently offered by the Mississippi Alcoholic Beverage Control (ABC), please visit the Mississippi Department of Revenue website.
Mississippi had been one of only three states that continued an archaic ban on winery-to-consumer direct shipping. While this solution can be improved, it is a step in the right direction for this state, where there has been no appreciable opportunity to have any form of direct shipping to date.
NEW JERSEY: A Work In Progress
We are looking ahead to the fall session to see if we can make further progress on removing the capacity cap on wine shipping currently in place. This has long been a significant restriction to consumer choice and we continue to work to get it removed.
OHIO: Some Permit Fees Increasing
Take Note: the state budget bill, signed by the Governor on July 1, 2025, includes a provision that will increase the fee for an S-2 DTC shipper’s permit. This applies to those wineries over 250,000 gallons of annual production. The annual fee will increase from $100 to $250 for that permit.
ALL STATES REMINDER: Use your own shipping permit!
It is the position and recommendation of Wine Institute that every winery obtain and utilize their own permits with each state where they are shipping wine. Utilization of a permit belonging to a third party can raise flags in certain situations, and there are a number of states that are paying closer attention to these instances, with potentially negative outcomes.
More compliance guidelines can be found at: https://wineinstitute.compliancerules.org/
